GLOBAL EQUITY RESEARCH

Research evidence excerpt

GLOBAL EQUITY RESEARCH

nths. We therefore continue to expect Zhipu to remain part of China’s frontier group across the

next model cycle, sufficient to support continued ARR expansion in today’s compute-constrained market. Following the recent

de-rating, we believe the market has largely priced in a lower valuation multiple and is overly pessimistic on Zhipu’s commercial

trajectory. For MiniMax, we apply the same industry view, reset our valuation framework and stay Neutral.

HSBC & STAN (Katherine Lei), Hong Kong

2Q26 preview: NII tailwinds support HSBC; STAN faces tough comps, but fundamentals intact

We expect HSBC to deliver stable 2Q26 earnings growth, supported primarily by NII and improved operating leverage, though

partly offset by elevated credit costs. For STAN, we expect clean PBT to contract in the mid-teens y/y due largely to a high base

from disposal gains and episodic income in 2Q25, as well as front-loaded opex. That said, any pullback in STAN’s share price

on weaker 2Q26 results could present a buying opportunity, in our view, as underlying operating trends remain strong and we

see tailwinds from its China CIB and network income. We reiterate our OW ratings on both HSBC and STAN.

| Singapore Airlines (Karen Li, CFA) (SIA SP, N, PT S$7.80), Singapore

Outperformance priced in; downgrade to Neutral – 1Q FY26/27 preview

We are downgrading SIA to Neutral after a period of sustained outperformance, with the stock now up c.17% since the start of

April and outperforming the Straits Times Index by c.6ppt. SIA has reached our price target, validating our earlier non-

consensus Overweight stance. The rally has been underpinned by market share gains achieved on the back of SIA’s robust

operational delivery and tactical network expansion.